China’s Fosun International plans to expand its portfolio by adding the Lanvin and St John Knits fashion brands, indicating a resilience of the luxury industry to current inflation and recessionary pressures. As per a SCMP report, Fosum will first list Lanvin on the New York Stock Exchange via a blank-check company in October or November. The brand will be acquired later next year, says Joann Cheng, Chairman and CEO, Lanvin Group.
Lanvin owns the eponymous French fashion brand as well as Italian shoemaker Sergio Rossi, Austrian lingerie brand Wolford, US womenswear St John Knits and Italian menswear brand Caruso. The company plans to boost US and China sales besides expanding its product range, diversifying beyond European brands and targeting younger consumers. The brand was acquired by Chinese conglomerate Fosun in 2018.
The acquisition could follow the template established by Lanvin’s acquisition of Sergio Rossi last year, which allowed it to expand its accessories range, says David Chain, COO. The company aims to tap the beauty and skin care sectors.
In 2021, Lanvin’s revenue grew 39 per cent, including sales from Sergio Rossi after the brand was acquired in the second half. The brand is poised to achieve profitability before taxes, depreciation and other items by 2024 as planned. It also filed its registration statement to list with the Securities and Exchange Commission.